Market continues to recover from its “slow growth” phase of 2004-2006
Overall market growth was 9.5% to $4.6 billion in 2007
Unit growth remained strong at 26% to 39 billion
Healthy demand growth across most applications, except mobile phones
Non-mobile phone applications grew by 20%
Mobile appliance market is becoming less of a factor in market dynamics
Price erosion continues Product mix is shifting significantly
LCD TV market is still in very early stages - significant shipments began only in 2 nd half 2007
Market penetration is ~0.1%
CCFLs are getting better and cheaper
Cost is the main issue - will remain a high-end market for some time
But picture quality is outstanding, and high-end customers will pay a premium
Even modest penetration results in a large LED market ($ billions)
The 2007 market for HB LEDs used in lighting was $330 million (+60% over 2006); forecast to grow to $1.4 billion in 2012
A lot of new activity in Asia
Many companies entering the market with new products and ideas
Attracting the attention of VCs
Luminaire product quality is still highly variable
Many lower price, poorly performing products
Market remains highly fragmented, serving many niche applications
Most applications are still using color, but general (white) lighting applications are growing
Prices are high for high efficiency, high quality luminaires
Variability of luminaire efficiency is problematic
Creates a challenging marketing problem
SSL standards are being finalized
Retail display
Entertainment
Safety/Security
Outdoor area
Off-grid (generally solar-powered)
Commercial/industrial
Market is beginning to recover from its slow growth phase - 9.5% in 2007 compared to 6% in 2005 and 2006
12% growth forecast for 2008
Seeing a gradual shift away from the dominance of mobile phones as new applications emerge
Other mobile appliances will contribute to grow
Forecast 5-year CAGR of 20%, for a total market of $11.4 billion in 2012
※ Quoted from ILFS 2008 (Int'l LED & FPD Seminar I)
